The President's Council on Jobs and Competiveness recently reported that the IPO market for small companies is in need of revitalization and recommended structural changes such as exemption from Sarbanes-Oxley compliance for companies for five years post-IPO and "right-sizing" the Spitzer Decree and Reg. FD.

These ideas won't fix the problems with biotech IPOs. The industry's long development timelines fit neither the 7-10 year venture capital cycle nor the short time horizons of the public equity markets.